Reference no: EM131970843

XYZ Corp. is considering a new project. The project will require $315978 for new fixed assets, $164462 for additional inventory and $32757 for additional accounts receivable. Short-term debt is expected to increase by $86888 and long-term debt is expected to increase by $285834. The project has a 5-year life. The fixed assets will be depreciated straight-line to a zero book value over the life of the project. At the end of the project, the fixed assets can be sold for 25% of their original cost. The net working capital returns to its original level at the end of the project. The project is expected to generate annual sales of $550612 and costs of $404182. The tax rate is 35% and the required rate of return is 15%.

What is the amount of the operating cash flow for the first year of this project? (Round answer to 0 decimal places, do not round intermediate calculations)